Junior exploration companies are taking advantage of reduced operational and staffing costs in the mining sector.

Mineral exploration spending has hit a six-year low in the Northern Territory, down 37 per cent on last financial year.

The NT Department of Mines and Energy confirmed expenditure was just $131.7 million.

But north-east of Alice Springs, some junior explorers are bucking the trend, using the idle resources of the bigger companies to undertake more ambitious drilling and seismic programs.

Mithril Resources has just transported a drilling rig from Kalgoorlie in Western Australia, to begin a new exploration program at its East Arunta copper project on Yambah and Hukkita Stations, north-east of Alice Springs.

Managing director David Hutton says it's reduced drilling costs that have made the move possible.

"With the current downturn of the exploration industry, we were able to get a very experienced, quality contractor at very reasonable prices," he said.

"Ironically there are opportunities, drilling costs have come down, anecdotally about 20 to 30 per cent from 12 to 14 months ago.

Mithril will drill up to 25 holes over the next month at a cost of $300,000.

And while it’s not all good news for junior explorers, who still face difficulties raising working capital, there are a couple of other factors working in their favour too.

At Jervois Station, also north-west of Alice Springs, KGL Resources, formally known as Kentor Gold, is beginning some work of its own.

Over the next six months it will drill up to 100 new holes at a cost of $4 to $5 million as part of its pre-feasibility study.

Ironically there are opportunities: drilling costs have come down and because a lot of people have been let go, there is an abundance of skilled people available.